Allied Addresses Impact of Short Selling and Speculative Trading

The company said, "The Company has observed unusually elevated levels of short-selling and speculative trading activity in recent periods, resulting in a share price that management believes has diverged materially from Allied's asset base and intrinsic value. To ensure transparency and avoid market misinterpretation, the Board of Directors and management issue the following update. As disclosed in the Company's most recent Form 10-Q for the quarter ended September 30, 2025: Total assets exceed $106.7M; Cash, cash equivalents and short-term investments total approximately $53.8M; Shareholders' equity is approximately $56.9M; By contrast, the Company's current market capitalization of approximately $14M represents: Roughly 25% of its net asset value; and Less than 30% of the value of its cash and short-term investments This valuation disparity highlights a disconnect between trading behavior and underlying fundamentals, which management believes is largely influenced by short-term transactional dynamics rather than long-term business performance. Some investors may have noted higher operating expenses during the reporting period. To clarify: 1.The increase primarily reflects costs associated with a prolonged shareholder control dispute, 2.Which is exceptional and non-recurring, and 3.Does not reflect deterioration in operating capability. Despite this external pressure, management has: Continued optimizing its cost structure; Improved efficiency of strategic capital deployment; and Maintained stable operational progress. Additionally, through disciplined asset management, the Company generated more than US$3.5 million in interest and investment income during the first nine months, demonstrating a resilient financial foundation capable of supporting growth initiatives. The Company remains focused on: Expanding higher-margin experiential and live entertainment businesses; Advancing monetization models and digital-first initiatives; Pursuing selective, synergistic investment opportunities. With liquidity of over $53M, management believes it is well positioned to execute its growth strategy without operational pressure from short-term market fluctuations. Short-selling and market volatility frequently reflect emotional short-term trading behavior. Accordingly, the Company advises shareholders and investors to: Exercise caution toward unverified commentary or rumors; Evaluate Allied based on official disclosures, asset strength, and strategic direction; Focus on long-term value rather than short-term price movement."